Major structural reforms like the Real Estate Regulatory Act (RERA) introduced in 2016, spurred the real estate sector and bought the necessary regulatory checks to boost homebuyers' sentiments.
With most real estate regulatory reforms in place and strong International Monetary Fund (IMF) GDP growth predictions for India, the Lok Sabha elections 2024 could spur housing demand in the country, according to a report by ANAROCK India.
The report said that housing sales grew significantly in both the election years of 2014 and 2019.
In 2014, sales in the top seven cities scaled up to about 3.45 lakh units while new launches were the highest ever at nearly 5.45 lakh units. Likewise, in 2019, housing sales scaled up to about 2.61 lakh units while new launches increased to about 2.37 lakh units after a dip in the residential real estate market between 2016 and 2019.
Major structural reforms like the Real Estate Regulatory Act (RERA) introduced in 2016, spurred the real estate sector and bought the necessary regulatory checks to boost homebuyers' sentiments.1
Additionally, inflation is well under control, and ANAROCK said this has boosted financial optimism and confidence among homebuyers.
As things stand now, all signs currently favour the residential market in 2024, and the year can well create another peak in housing sales and new launches, Anuj Puri, Chairman of ANAROCK Group said.
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- 1. "Most real estate regulatory reforms and norms are already in place and international organizations like IMF have strong GDP growth predictions for India for the next few years. The Indian economy is growing rapidly, and this indirectly has a positive impact on the real estate market," the report noted.